1. Technical Field
The embodiments herein generally relate to an enterprise-wide value control and particularly to an enterprise-wide real-time system for tracking and measuring the value generated or consumed within an operating environment of an enterprise. The embodiments herein more particularly relates to a system for effective enterprise view, thereby helping in controlling optimal value flow across the enterprise.
2. Description of the Related Art
Today, the enterprise does a lot of activities or events or transactions, both externally and internally within the organization to exist. The total cost which an enterprise spends is split across all these activities. Similarly the revenue which an enterprise generates is also split across different regions, different lines of business, products, services and so on. The success of any business organization will revolve around the optimum generation of business value around their operations.
As organizations are becoming more global and more virtual, the need to control their operations in different geographies and diverse business lines from a centralized location becomes essential for an efficient management control. Enterprise-wide systems attain manifold importance in such conditions, when compared to the erstwhile silo-type of system architecture. Industry verticals are attending more to the needs of the customer, shifting focus from the traditional supply-driven operational model. Industry players are looking for customer-centricity, being increasingly aware of customer demands, and receptive and responsive to the customers—by providing the best value products and services to them. The success of any enterprise will depend on how best it can streamline and optimize its value flow to meet customer and market demands.
In the context of an enterprise, energy distribution in the body is akin to the flow of money through the various entities that form the enterprise. But on a broader perspective, money is not the only value generated in business. Value can be defined as a positive change in the qualitative and quantitative assets of an enterprise and the change can either be tangible or intangible. Among such positive changes, a monetary value can be measured and monitored on a real-time basis. This includes direct values like usage charges from customers and revenues from a department, or indirect values like opportunity cost and extent of risk mitigation. A value is generated and consumed through various activities/transactions/events occurring within an enterprise. Any enterprise comprises of several basic internal and external entities, which make up its operating environment. These entities include customers, internal departments producing and selling various products and services, external suppliers, channel partners, business processes and IT systems supporting the core functions of the organization. Value is generated and consumed when these entities interact with each other and perform activities/transactions/events.
However, in reality, the value flow is not smooth every time. When a value consumption is more than a value generation at any point of an enterprise, it leads to a value disruption or a value leakage. A disruption in the value flow is reflected on the organization as a revenue leakage, a customer aspiration gap, unprofitable products and package plans, non-productive partners, customer attrition, etc. When the various reasons behind a value loss or disruption in a value flow are analyzed, one of the key reasons is the delay in taking right management decisions or enforcing policies. On the other hand, the management requires real-time information on the generation/consumption of value as well as some intelligent platform to analyze the value flow and alert them on a possible value flow disruption, to effect those changes. A comprehensive system that can measure and monitor the creation, consumption and flow of value in an enterprise assumes pertinence for an effective management control. The management must be able to track the value enhancers, which could vary the magnitude of generation and consumption of value. For example, a 1$ increase in revenue could lead to 5 times an increase in the value of the firm, however, the same increase in the profit margins could lead to 20 times an increase in the value of the firm.
Thus there exists a need for a system and a method to track the different value enhancers, value generation and value consumption across an enterprise by tracking activities, transactions or events related to the enterprise.